CHARLOTTE, N.C. — Michael Jordan’s dispute with NASCAR opens in federal court Monday as a jury trial that could reshape the top U.S. motorsports series.
The antitrust lawsuit filed by Jordan-owned 23XI Racing and Front Row Motorsports has unearthed inflammatory private communications, financial records and stark tensions between NASCAR leadership and participants. Co-owner and driver Denny Hamlin, who shares ownership of 23XI with Jordan and recently lost a bid for the Cup Series championship, warned the crowd the case will reveal harsh truths. “Our fans have been brainwashed with (NASCAR’s) talking points for decades,” Hamlin wrote on social media. “Lies are over starting Monday morning. It’s time for the truth. It’s time for change.”
NASCAR Commissioner Steve Phelps says the series sought to settle before trial.
What the lawsuit alleges
23XI Racing — owned by Hall of Famer Michael Jordan, Denny Hamlin and Curtis Polk — and Front Row Motorsports, owned by Bob Jenkins, are the only teams of 15 that refused to sign renewals of NASCAR’s charter agreements in late 2024. The teams and many others had been negotiating for more favorable charter terms for over two years; the final 2025 terms, they contend, fell short.
The plaintiffs accuse NASCAR of operating as a monopoly, pointing to exclusivity clauses, NASCAR’s ownership of many Cup schedule tracks and its control over rules and governance. 23XI and Front Row also seek significant monetary relief to cover legal fees and financial losses they claim from not being chartered and from the dispute.
What a charter is
Introduced in 2016, the charter system is NASCAR’s franchise-like model: a charter guarantees a car a spot in the 40-car field for all 38 races and a defined share of weekly payouts. Teams have argued the system as currently structured is not financially viable; they wanted permanent charters (instead of renewable/revocable ones), a bigger revenue share and greater governance voice. Finding the 2025 agreements inadequate, 23XI and Front Row refused to sign and sued.
NASCAR’s defense
NASCAR, founded by the France family 76 years ago, denies antitrust violations, saying its practices are standard business conduct. The series notes that 2025 charter payouts increased and emphasizes the option for nonchartered “open teams” to qualify for one of four spots in each race. 23XI and Front Row raced as open teams this year, making every field but, according to them, losing millions in purse revenue by doing so.
Pretrial discovery revealed NASCAR earned more than $100 million in 2024, a figure now part of the case’s public record.
Behind-the-scenes revelations
Discovery has exposed sharp private remarks from both sides. NASCAR officials, in one discussion, referred to Hall of Fame owner Richard Childress as a “dinosaur,” an “idiot” and a “stupid redneck,” and suggested he needed to “be taken out back and flogged.” Other executives derided the literacy of fans, criticized Tony Stewart’s SRX short-track series and discussed ways to undermine it.
On the plaintiffs’ side, 23XI’s president was recorded saying NASCAR chairman Jim France “had to die” to secure favorable charter terms; Hamlin expressed personal dislike for the France family; an adviser questioned Hamlin’s business acumen; and Jordan made a remark about losing more money in a casino than he pays one of his drivers. These exchanges have intensified animosity and media attention.
Who may testify and who may sit in court
NASCAR has sought testimony from top owners Rick Hendrick and Roger Penske, who oppose being deposed and have asked, if required to appear, that questioning be limited to charter issues. Both submitted declarations supporting the charter system. Those declarations reflected broad unity among non-suing teams, who generally do not want the charter system dismantled — though many also noted the 2025 deals did not meet all their requests.
NASCAR has also asked that some plaintiffs be barred from sitting in the courtroom during trial, reportedly to avoid potential influence on jurors; that request would affect visible figures like Jordan and Hamlin. A ruling on courtroom seating was pending.
Possible outcomes
The parties can still settle at any point, even after a verdict or on appeal.
If 23XI and Front Row prevail, the jury will award damages that Judge Kenneth Bell could adjust and potentially treble under antitrust law. A plaintiff victory could lead to drastic remedies: court orders to dismantle the charter system, require permanent charters, force the France family to sell the sport, or mandate divestiture of tracks — among other structural changes.
If NASCAR wins, 23XI and Front Row could struggle to continue past 2026. The six charters currently set aside would likely be sold; the last charter sale fetched $45 million, and NASCAR says there is strong interest from buyers, including private equity.
The trial’s revelations have already exposed deep fractures in the sport’s leadership and business model. The jury’s decision — and any subsequent judicial orders — could reshape NASCAR’s competitive and commercial future.